🥫Advantage India

India has already established itself as a worldwide offshore center for some of the world's largest corporations. Covid-19 has made little difference to this reality. As India's lockdown eases, there are early signs that indicate a dramatic V-shaped recovery in 2021–2022.

Retail automobile sales, toll collection, and food sales are returning to levels seen prior to Covid-19. Following a months-long break, India's leading retailers have begun scouting locations for new store outlets as footfall and shopping in India's malls gradually begin to recover.

The following are the primary reasons why the Indian real estate business may have an advantage:

Booming Market Demand

• According to Savills India, demand for data center real estate is predicted to grow by 15-18 million square feet by 2025.

• Residential property demand has grown significantly as a result of growing urbanization and rising family income. India is one among the world's top ten housing markets in terms of price appreciation.

• Each year, around 10 million individuals relocate to cities.

• Demand for commercial and retail space is increasing as the economy grows.

New Opportunities

• Increasing demand for space from industries such as education, information technology, healthcare, e-commerce, and logistics.

• To make the market more accessible to small and retail investors, the Securities and Exchange Board of India reduced the minimum application value for Real Estate Investment Trusts from Rs. 50,000 (US$ 685.28) to Rs. 10,000-15,000 (US$ 137.06 - US$ 205.59) in July 2021.

• According to ICRA forecasts, Indian enterprises are likely to raise more than Rs. 3.5 trillion (US$ 48 billion) in 2022 via infrastructure and real estate investment trusts, up from US$ 29 billion raised so far.

Policy Support

• The government has permitted up to 100% foreign direct investment in township and settlement development projects.

• By 2022, 20 million dwellings will be constructed under the 'Housing for All' program, with the GST rate reduced to 5%.

• Union Budget 2021-22 extends the tax exemption on interest on housing loans up to Rs. 1.5 lakh (US$ 2069.89) and the tax holiday on affordable housing projects till the end of fiscal 2021-22.

More Investments

• Private investment in the industry is surging as a result of increased transparency and rewards.

• In the first half of 2021, India invested US$ 2.4 billion in real estate assets, a 52 percent increase year on year.

• Between April 2000 and June 2021, FDI in the industry (including construction development and operations) totaled US$ 51.5 billion.